Business decision tool
Customer Concentration Risk Calculator
Summarise revenue concentration across the five largest customers.
Inputs and results stay in this browser. Currency symbols are illustrative; use any consistent currency.
Question → business model → calculation → decision
What business question does this answer?
Summarise revenue concentration across the five largest customers.
Why does the model apply?
Higher concentration can increase dependence on a small number of customers. The five-customer HHI is partial when other customers are omitted.
Formula
Top-five concentration = share₁ + share₂ + share₃ + share₄ + share₅; HHI = Σ shareᵢ²
How should I interpret the result?
Read the result together with its units and time period. Change one assumption at a time to see which input drives the decision.
What are the limits?
This simplified model cannot capture every tax, accounting, legal, market or operational condition. Verify material decisions against current company records and professional guidance.
Clear answers
Frequently asked questions
What does the Customer concentration do?
Summarise revenue concentration across the five largest customers.
How does the Customer concentration work?
The calculator applies Top-five concentration = share₁ + share₂ + share₃ + share₄ + share₅; HHI = Σ shareᵢ². Higher concentration can increase dependence on a small number of customers. The five-customer HHI is partial when other customers are omitted.
What can I learn from the Customer concentration?
It connects company inputs to a transparent business result. Change one value at a time to compare operating scenarios.
Does MW SysArc receive or store what I enter?
No. The calculation runs locally in your browser. MW SysArc does not receive or store your calculation inputs.
How should I use the result?
Use the result as an estimate or educational aid. Check important financial, business or policy decisions with qualified sources and current data.
Last reviewed 2026-07-14. Calculations tested 2026-07-14.